The Israeli company Elbit Systems Ltd. and South Korean Maintenance, Repair and Overhaul (MRO) provider Sharp Aviation K Inc. announced the establishment of a joint venture company – Sharp Elbit Systems Aerospace, Inc. (“SESA”). The new company will be based in Ansan, south of the capital Seoul. The company will support advanced military aircraft avionics. Sharp which sofar offered services to commercial aircraft, will be the majority owner in the new company and, as part of the transaction, Sharp intends to transfer contracts currently operated.

Mr. Soon-Suk Paik, President and CEO of Sharp Aviation K commented: “Working with the Defense Acquisition Program Administration (DAPA) of Korea and international and Korean manufacturers, SESA will offer the Korean aerospace market advanced solutions and systems, made in Korea and based on Elbit Systems’ technological portfolio and Sharp Aviation K’s vast experience in aviation and avionics, strong local presence and deep understanding of the Korean market”. For Elbit Systems and other international suppliers, SESA will offer an attractive offset solutions to foreign suppliers and OEM’s selling defense goods and services in Koera.

The Israeli partner will have an option to increase its share from 19 to 50%. n addition to maintenance, repair and production, SESA will provide research and development of systems and avionics for both existing and future projects, such as the Korean Light Attack Helicopter (LAH) and the Korean Future Fighter (KFX) development projects. The Large Area Displays developed by Elbit Systems for modern fighter aircraft and helmet display solutions are well positioned for integration in these future projects and other Korean modernization programs. Elbit Systems already has significant ongoing operations in South Korea; the company is leading an upgrading project for the modernization of RoKAF C-130s, its Electronic warfare unit Elisra has supplied electronic countermeasures for some of the RoKAF aircraft for many years and Electro-Optics unit ElOp has supplied various reconnaissance systems to the Korean Air Force.